This metric was designed by PayScale and their analysis can be found here.
Data on CEO Salary was obtained from Equilar’s “100 CEO Pay Study,” an annual study of CEOs at the 100 largest U.S. publicly-traded companies. We summed Salary, Bonus, and Other compensation to get non-stock compensation. This measure is most similar to employee data from the PayScale website.
We provide the overall typical median pay for workers at 100 companies, as well as the ratio of CEO-to-worker pay.
We also provide the percentage of respondents that report high job satisfaction and meaning, low stress, and would recommend their job.
Definitions:
Total Cash Compensation (TCC): TCC combines base annual salary or hourly wage, bonuses, profit sharing, tips, commissions, and other forms of cash earnings as applicable. It does not include equity (stock) compensation, cash value of retirement benefits, or the value of other non-cash benefits (e.g. healthcare).
Typical Median Pay: The median pay is the national median (50th Percentile) annual total cash compensation. Half of the people doing the job earn more than the median, while half earn less.
Range in pay within a job can be very wide depending upon years of experience, scope of responsibility, location of work, etc. For example, pay can be higher than the stated median pay if the worker has more responsibility, chooses a higher paying field, or works in a city like New York.
Percentage of High Job Satisfaction: The percentage of respondents who chose the two most extreme options for satisfaction: Fairly Satisfied and Extremely Satisfied for the question, "How satisfied are you in your job?"
Percentage of Low Job Stress: The percentage of respondents who chose the three least extreme options for stress: My Job is Relaxing, Not stressful, and A Little Stressful, for the question, "ow stressful is your job/work environment?"
Percentage of High Job Meaning: The percentage of respondents who chose the two most extreme options for job meaning: Yes and Very Much So, for the question, "Does your work make the world a better place?"
Percentage of Would Recommend Job: The percentage of respondents who chose the two most extreme options for job recommendation: Yes, strongly and Yes, moderately, for the question, "Do you recommend your current job?"
Only data that was statistically significant was included for these questions.
Company Annual Revenue (in billions):
As determined by CNN Money's Fortune 500 list for 2013
For three companies, the company annual revenue was located elsewhere:
- AbbVie (ABBV)
- Schlumberger (SLB)
- Twenty-First Century Fox (FOXA)
CEO-to-Worker Ratio: The ratio of a typical worker's pay compared to a company's CEO pay.
Percentage Above or Below Market: This measures whether a given employer typically pays above, below or at market price for their employees. By utilizing PayScale’s database of over 40 million employee profiles, we have determined how various compensable factors, like work experience, education, and job responsibilities, affect pay, when all else is held equal. From this analysis, PayScale can then calculate what a worker with a given set of compensable factors will earn across different employers.
This measure is reported as a percentage premium or loss. Any employer that pays above market will have a positive percentage. The larger the percentage, the higher the premium these employers pay for their workers. On the other hand, if an employer pays below market, the percentage will be negative.